The polarity of the induced emf is such that it produces a current whose magnetic field opposes the change that produces it. The induced magnetic field inside any loop of wire always acts to keep the magnetic flux in the loop constant. This inherent behavior of generated magnetic fields is summarized in Lenz's Law.he polarity of the induced emf is such that it produces a current whose magnetic field opposes the change that produces it. The induced magnetic field inside any loop of wire always acts to keep the magnetic flux in the loop constant. This inherent behavior of generated magnetic fields is summarized in Lenz's Law.
When gross profit ratio is expressed in percentage form, it is known as gross profit margin or gross profit percentage. The basic components of the formula of gross profit ratio (GP ratio) are gross profit and net sales. Gross profit is equal to net sales minus cost of goods sold.
The profit margin ratio formula can be calculated by dividing net income by net sales. Net sales is calculated by subtracting any returns or refunds from gross sales. Net income equals total revenues minus total expenses and is usually the last number reported on the income statement.